lesson 1-1
Planning, recording, analyze and interpret financial Info
What is accounting
Do something get paid
What is a service business
all your money coming in
revenue
what side is debit on the accounting equation
left
Form for recording transaction in chronological order
Recording in a journal
JOURNAL
Planned process to compile financial data
what is an accounting system
Make stuff
Manufacturer
Sale which payment will be received later
sale on account
what side is credit on the T-chart
right
Taking from journal; to ledger is called
POSTING
the report of the accounting system
Finical statement
Sell to a consumer
What is retail
cost of goods and services to run a business
expense
the side that gets adjusted in a journal
normal balance
Length of time where business reports financial information
FISCAL PERIOD
Asset minus liability
What is a net worth statement
plan to run business
Business plan
assets taken for personal use
what is withdrawal
at least how many accounts does a transaction affect
2
accounting for external users Investors, customers, Govt, Shareholders
Financial accounting
The use of ethics in a business
What is business ethics
A= Liabilities+Owners equity
what is the Accounting equation
liability account on account that you will pay back later
what is account payable
chart in shape of a T
T chart
Where purchased returns are recorded
Purchases returns and allowances